JAKARTA - The construction of subsidized houses through the home ownership credit scheme (KPR) housing financing liquidity facility (FLPP) continues to be rushed this year. This is done to reduce the backlog of housing in the country which is still quite high.
The Association of All Indonesian Housing and Settlement Developers (Apersi) itself targets the construction of around 105,000 subsidized housing units by 2026.
This was conveyed by the General Chair of Apersi 2026-2031 Deddy Indrasetiawan in the Inauguration of the APERSI Central Board of Directors for the 2026-2031 period in Jakarta, Tuesday, July 21.
"Ready for 120,000 (this year)," said Deddy.
Deddy said that the figure was significantly higher than the target in 2025 which was 85,000 units.
"Our subsidized houses, right, last year 85,000, we target this year can really be 120,000," he said.
Even so, Deddy did not deny that there were still many challenges faced by his party in realizing the target for the construction of subsidized houses.
The challenges include licensing related to the Protected Rice Field policy (LSD), free Building Building Approval (PBG) until it is hampered by the many requirements of the Tax on Acquisition of Rights over Land and Building (BPHTB).
"Regarding permits, friends know LSD, PBG who still pay, BPHTB conditional a lot," he said.
For this reason, said Deddy, his party has now created a new division, namely the advocacy division. This division is expected to be able to solve various challenges faced by Apersi in building subsidized houses.
"Like that we have our own task force. In fact, we were at the BPKP event yesterday, Apersi gave an official letter to Mr. Tito (Minister of Home Affairs). And yesterday we sent another report from our report from friends from the DPD throughout Indonesia regarding the implementation of policies that have been given by the ministry," he said.
Due to a number of challenges, Deddy also admitted that the realization of subsidized housing construction until the first semester of 2026 on an annual basis (yoy) had decreased by 24 percent compared to the same period last year.
"The achievement of the subsidized house target year-on-year in the first semester compared to last year decreased by 24 percent. That must be one of them related to the availability of land friends. In addition to licensing and material increases," he said.
According to Deddy, this condition makes some developers under pressure, although they have not yet experienced bankruptcy.
"Actually it's not a collapse, but they've been 'squeezed', they're at the end. So, they just spend the land that is there, but the land that is bought is actually affected by LSD," he said.
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